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The video in this report is only accessible to members

US Equities have now retraced more than 61.8% of prior decline from late July and have shown no evidence of turning down.  Yields have slowed their descent, while the US Dollar has extended losses.  Overall, with no evidence of stalling, it’s probably going to be right to expect SPX reaches 4527 or 4556 while QQQ can hit 380-1.

Weak economic data continued to support higher prices in both Treasuries and Equities on Wednesday, albeit at a more muted pace.  Yields in particular seem to have held minor support near 4.10% for TNX while 2, and 5-year Treasury yields fell at a bit of a faster clip. 

Market breadth proved to be a bit muted, with Advances not sweeping declines in a meaningful fashion like what might be expected after Tuesday’s surge.  After one of the best days of the month in breadth, Wednesday failed to follow-through, and both A/D and volume came in just 3/2 positive.  Thus, while trends showed little evidence of giving way, increasingly this rally will require consolidation given hourly overbought levels as part of a negative weekly momentum situation.

Daily SPX charts below show price having pushed up to retest the prior uptrend that had been violated last month.&n...

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